Sweet Portions of Happiness
Panilino was founded in September 2003 a continuation of a family pastry production business that started in the “90s. The company’s slogan “SWEET PORTIONS OF HAPPINESS” is based on two main principles – the use of traditional Moldovan recipes combined with the use of the highest-quality bakery ingredients.
While staying true to these two cornerstones of the company’s success, the need to mix and stir some new and innovative aspects into this recipe of success became evident, and that is when a sprinkle of help came from EBRD and EU.
A Sprinkle of Help of the EBRD and the EU
With the aim of modernizing the factory through the purchase of high-performance equipment and the optimization of the production process, Panilino took a €347,000.00 EU4Business-EBRD Credit Line loan.
“After extensive research of the various SME credit offers available in Moldova, we decided in favour of the EU4Business-EBRD Credit Line. The conditions of the credit line are very competitive, and the free-of-charge technical support and the grant component of the loan are very truly helpful.” Says Mr. Sergiu Guzun, the director of SRL Panilino.
What is the EU4Business-EBRD Credit Line?
What is the EU4Business-EBRD Credit Line? It is a loan and grant programme that was developed jointly by the European Union under the “EU4Business” initiative and European Bank of Reconstruction and Development (EBRD). The main aim of the programme is to support Moldovan SMEs wishing to take advantage of the opportunities provided by the Deep and Comprehensive Free Trade Agreement that was signed between Moldova and the European Union. Loans are disbursed via local partner financial intermediaries and, after successful verification investors receive a 10-15% grant incentive, financed by the EU4Business initiative. Apart from the grant incentive, SMEs interested in upgrading their equipment, can also take advantage of the free-of-charge technical expert advice and consultation provided by an international team of implementation consultants.
EBRD and EU help Moldova’s PANILINO grow into a leading pastry producer
The results of the investment were immediate and, like always, best evidenced by numbers: the post investment figures showed a 15% increase in the productivity of the factory and a 5% increase in exports, supported by contracts that were signed with distributors from Ireland, France, Italy, Latvia, Austria and Germany. With this the company is a great example of a small local producer that successfully turned into an export hit through diligent focus on continuous quality improvement.
And the number provide more positive news: the increased demand for Panilino’s sweet and savoury products led to an increase in the workforce from 238 to 257 employees.
“The loan, the free-of-charge technical support and the cash-back grant that we received through the EU4Business-EBRD Credit Line was a game changer for us. We increased the assortment, improved product quality and significantly optimized our costs. And we don’t plan to stop here. Eventually, we want to have an even more solid foot in international markets and make Panilino an internationally recognized brand.” Says Mr. Sergiu Guzun.
We think, at the rate this company is going about its plans, realizing the set goals will just be a piece of cake for Panilino.
